There will be a massive expansion of newly-constructed commercial real estate in Budapest over the course of the next 12 months, according to a report in the online financial newspaper, Portfolio.

The Hungarian capital city will soon be home to an extra 355,000 square metres in rented office space, according to Colliers International’s most recent calculations.

If these figures hold and if there are no lengthy delays, office space in Budapest will expand by an impressive 17 percent by 2010.

While the growth in the number of available commercial properties in Budapest may augment vacancy levels (some analysts believe that it might top 18 percent), it also shows that the Hungarian capital is still an attractive location for foreign investors, even during the current global crisis.

Yet those looking to make money from the commercial real estate market would be well-advised to only purchase units in the best quality buildings and at top locations in Budapest.

Nearly all real estate experts agree that in order to maximize one’s chances of successfully renting office space, there should be adequate parking either in the building, or nearby, and the property should be conveniently located near a major intersection, or along a major public transit route.

Properties along the River Danube, or close the city centre are still the most sought-after in the Hungarian capital, but commercial real estate located in popular Buda suburbs, or near the airport on the Pest side are also growing in popularity.